AbbVie Expects to Close $63-Bn Acquisition of Allergan in May
AbbVie has provided an update an its pending $63-billion acquisition of Allergan. The deal, which was announced in when, is expected to close in May 2020 pending approval by the US Federal Trade Commission (FTC).
AbbVie and Allergan have entered into a consent decree agreement with staff of the FTC under which the companies have agreed to divest three products as a condition of FTC approval: (1) Allergan’s brazikumab, an investigational drug in development for treating autoimmune diseases, to AstraZeneca; (2) Allergan’s Zenpep, a treatment for exocrine pancreatic insufficiency due to cystic fibrosis and other conditions, to Nestlé; and (3) Allergan’s Viokace, another pancreatic enzyme preparation, to Nestlé as part of the same transaction.
The consent decree, including the proposed purchasers, remains subject to further review and approval by the Commissioners of the FTC. The parties anticipate closing in May 2020.
Earlier this month (March 2020), AbbVie moved closer to finalizing the pending $63-billion acquisition of Allergan following approval by the European Commission of the divestiture of Allergan’s brazikumab, to AstraZeneca. The European Commission’s approval of AbbVie’s acquisition of Allergan in January 2020 was conditional upon the divestiture of brazikumab to a suitable purchaser. The transaction remains subject to additional customary closing conditions, but the European Commission’s final approval cleared the pathway in Europe to close the pending transaction.